MNGT 482 Final
Global corporate citizenship is more than espoused values, it requires: A. Action. B. Bankruptcy. C. Expression. D. Enhancement.
A. Action.
According to management scholar Karl Albrecht, scanning to acquire environmental intelligence should focus on: A. Eight strategic radar screens. B. Six management templates. C. Eight process improvement models. D. Six ethical decision indicators.
A. Eight strategic radar screens.
The unspoken understanding among employees of what is and is not acceptable behavior is called: A. Ethical climate. B. Efficiency. C. Success. D. Rites and rituals.
A. Ethical climate.
The iron law of responsibility says that: A. In the long run, those who do not use power responsibly will lose it. B. In the short run, sacrifice social goals for economic goals. C. Law is most important, more than social or economic responsibility. D. In the long run, economic responsibility leads to social responsibility.
A. In the long run, those who do not use power responsibly will lose it.
Which of the following examples best illustrate an ethics issue based on cross-cultural contradictions? A. Legally marketing a pesticide abroad that has been banned in the U.S. B. Circumventing government regulations to ensure company profits. C. Hiring child workers in violation of civil law. D. False and misleading advertising claims.
A. Legally marketing a pesticide abroad that has been banned in the U.S.
A company who complies with the laws and regulations set by the government is: A. Meeting the minimum level of social responsibility expected by the public. B. Meeting the maximum level of social responsibility expected by the public. C. Not meeting government expectation. D. Following a practice of enlightened self-interest.
A. Meeting the minimum level of social responsibility expected by the public.
Proactive companies are: A. Much less likely to be blindsided by crises and negative surprises. B. Much more likely to be blindsided by crises and negative surprises. C. Just as likely to be blindsided by crises and negative surprises. D. Much more likely to be forced to defend itself in a lawsuit brought by a stakeholder.
A. Much less likely to be blindsided by crises and negative surprises.
Triple bottom line disclosure is primarily driven by: A. Noneconomic drivers. B. Managerial accounting drivers. C. Economic drivers. D. Technological advances.
A. Noneconomic drivers.
Which of the following is not a driver of the Corporate Social Responsiveness phase of Corporate Social Responsibility? A. Religious/ethnic beliefs. B. Social unrest/protest. C. Stakeholder pressures. D. Public policy/government regulations.
A. Religious/ethnic beliefs.
Which of the following is an argument against corporate social responsibility? A. Requires skills businesses may lack. B. Creates an imbalances between corporate power and its economic responsibility. C. Improves business value and reputation. D. A majority of stockholders are against it.
A. Requires skills businesses may lack.
When the benefits of an action outweigh its costs, the action is considered ethically preferred according to: A. Utilitarian reasoning. B. Virtue ethics. C. Theological reasoning. D. Plato and Aristotle.
A. Utilitarian reasoning.
Which statement characterizes the moral reasoning typically found in a child? A. "When in Rome, do as the Romans do." B. "I'll let you play with my toy if I play with yours." C. "Seek the greatest good for the greatest number." D. "Respect the rights of others."
B. "I'll let you play with my toy if I play with yours."
Once an issue has been identified, its implications must be: A. Acted upon. B. Analyzed. C. Segmented. D. Deleted.
B. Analyzed.
Corporate social responsibility (CSR) means that a corporation should: A. Always forgo profit for the sake of the environment. B. Be held accountable for any of its actions that affect people, their communities, and their environment. C. Abandon its other missions. D. Put social responsibilities ahead of economic or legal responsibilities.
B. Be held accountable for any of its actions that affect people, their communities, and their environment.
The role of special interest groups is an important element in acquiring intelligence from the: A. Customer environment. B. Competitor environment. C. Economic environment. D. Social environment.
B. Competitor environment.
The costs of corporate social responsibility may ultimately be passed on to the: A. Employees through fewer health benefits. B. Consumer through high prices. C. Investor through stock splits. D. Taxpayers by the government.
B. Consumer through high prices.
All of the following are examples of the phases of Corporate Social Responsibility except: A. Corporate/Global Citizenship. B. Corporate Charity Principle. C. Corporate Social Stewardship. D. Corporate/Business Ethics.
B. Corporate Charity Principle.
Overtime, the nature of business's relationship with its stakeholders often: A. Remains static. B. Evolves through a series of stages. C. Becomes more hostile. D. None of the above.
B. Evolves through a series of stages.
Recipients of the corporate ethics awards show that: A. Awards are based on economic power, not ethical performance. B. Firms can be financially successful and ethically focused. C. Being legally compliant results in receiving an ethics award. D. Improving ethical performance is very costly, but bolsters a firm's reputation.
B. Firms can be financially successful and ethically focused.
According to Philip H. Mirvis' and Bradley K. Googins' model, how many stages are there of global corporate citizenship? A. Three. B. Five. C. Seven. D. Twelve.
B. Five.
In the United States and Latin America, ethics policies were found to be primarily: A. Informational - providing guidance for recommended ethical activity with the company. B. Instrumental - providing rules and procedures for employees to follow to adhere policy and law. C. Social - providing a framework for ethical interaction between employees and customers. D. General - providing basic definitions of ethical decision-making.
B. Instrumental - providing rules and procedures for employees to follow to adhere policy and law.
Scholars found that spirituality: A. Negatively affects employee and organizational performance. B. Positively affects employee and organizational performance. C. Has no affect on employee and organizational performance. D. Only affects the employee performance of not for profit organizations.
B. Positively affects employee and organizational performance.
Most ethics or compliance officers are generally entrusted to: A. Act as a liaison between the company and the Securities and Exchange Commission. B. Reduce the risks to the company of employee misconduct. C. Annually distribute copies of the company's code of ethics to all interested stakeholders. D. Arrange for ethics training for employees at a nearby university.
B. Reduce the risks to the company of employee misconduct.
Under the U.S. Corporate Sentencing Guidelines, if a firm has developed a strong ethics program, corporate executives found guilty of criminal activity may have their sentence: A. Increased. B. Reduced. C. Unaffected. D. Decided by the company.
B. Reduced.
Stakeholder engagement is, at its core, a: A. Program. B. Relationship. C. Process. D. Systems model.
B. Relationship.
One of the most widespread and potentially powerful efforts to combat bribery was initiated by: A. The Global Forum on Fighting Corruption. B. The Organization for Economic Cooperation and Development. C. International Labour Organization. D. The U.S. Foreign Corrupt Policy Act.
B. The Organization for Economic Cooperation and Development.
A conception of right and wrong is: A. Impossible to know. B. The definition of ethics. C. Determined by power. D. Based on stakeholder dialogue.
B. The definition of ethics.
Sanford Limited, a small fishing company in New Zealand, made the following commitment(s) in its first triple bottom line report released in 2007: A. To ensure that its operations were the best in the industry. B. To maximize positive social outcomes and economic growth and prosperity. C. To avoid going overboard with its social mission. D. All of the above.
B. To maximize positive social outcomes and economic growth and prosperity.
The United Nations Global Compact is funded by: A. Membership income. B. Voluntary government and foundation contributions C. Government grants. D. All of the above.
B. Voluntary government and foundation contributions
According to a survey conducted by The Economist in 2008, how many respondents say corporate citizenship can help increase their companies' profits? A. 11%. B. 25%. C. 74%. C. 91%.
C. 74%.
Proponents against corporate social responsibility feel that public officials, not business people, should solve societal problems because: A. Business people do not have the skill-set to solve societal problems. B. The private sector is not mandated to solve these issues. C. Both A and B. D. None of the above.
C. Both A and B.
Public issues are also sometimes referred to as: A. Social issues. B. Sociopolitical issues. C. Both A and B. D. None of the above.
C. Both A and B.
Corporations have a role in establishing their community's: A. Tax base. B. Safety. C. Economic growth. D. All of the above.
C. Economic growth.
This inter-American organization (North and South America) was created to unite organizations focusing on corporate social responsibility from Canada to Chile. A. Business for Social Responsibility. B, Canadian Business for Social Responsibility. C. Forum Empresa. D. Fundacion Empresa y Sociedad.
C. Forum Empresa.
The Universal Declaration of Human Rights states that each person: A. Has a right to life, liberty and the pursuit of happiness. B. Is created equal in the eyes of the government. C. Has the right to a standard of living adequate for the health and well-being of himself and of his family. D. Has the right to a standard of living that meets each countries' minimum wage law.
C. Has the right to a standard of living adequate for the health and well-being of himself and of his family.
Business managers need a set of ethical guidelines to help them: A. Understand the changing customs throughout the world. B. Justify the resolution which best helps themselves. C. Identify and analyze the nature of ethical problem. D. None of the above.
C. Identify and analyze the nature of ethical problem.
Business managers need a set of ethical guidelines to help them: A. Understand the changing customs throughout the world. B. Justify the resolution which best helps them. C. Identify and analyze the nature of the ethical problem. D. None of the above.
C. Identify and analyze the nature of the ethical problem.
The Sarbanes-Oxley Act: A. Forces firms with inaccurate financial reporting into Chapter 11 bankruptcy. B. Does not hold auditing firms liable for their client's inaccurate account reporting. C. Requires executives to pay back bonuses based on earnings that are later proved fraudulent. D. Allows an auditing firm from providing the same client with non-auditing services.
C. Requires executives to pay back bonuses based on earnings that are later proved fraudulent.
Corporate power refers to: A. The capability of competitors to influence legislation, trade, and the stock market, based on their organizational resources. B. The capability of politicians to influence corporations, employees, and unions, based on their organizational resources. C. The capability of corporations to influence government, the economy, and society, based on their organizational resources. D. The capability of CEOs to influence product development, employee morale, and currency indices, based on their organizational resources.
C. The capability of corporations to influence government, the economy, and society, based on their organizational resources.
The critical component in installing an effective ethics program is: A. To allow all employees the freedom to act as they wish. B. In hiring an expensive ethics consultant. C. The integration of various ethics safeguards into a comprehensive program. D. Maintaining the position as the industry sales leader.
C. The integration of various ethics safeguards into a comprehensive program.
Which of the following is not an example of a white-collar crime? A. Embezzlement. B. Check fraud. C. Theft. D. Money laundering.
C. Theft.
In a 2010 study of 400 companies, what percentage of firms said the benefits of the Sarbanes-Oxley Act outweighed its costs? A. 12% B. 33% C. 55% D. 70%
D. 70%
A 2011 survey of business firms by KPMG found: A: A steep increase in corporate social reporting. B. A decrease in corporate social reporting. C. A majority of firms using the Global Reporting Initiative. D. A and C, but not B.
D. A and C, but not B.
Scholars have found: A. No relationship between social and financial performance. B. A negative relationship between social and financial performance. C. An inverse relationship between social and financial performance. D. A positive association between social and financial performance.
D. A positive association between social and financial performance.
A leadership role in addressing emerging management issues in often taken by: A. The public affairs department. B. The government relations department. C. The department of sustainability or environmental, health and safety. D. All of the above.
D. All of the above.
A member of the Chartered Financial Analyst Institute (CFA) must: A. Promote the integrity of and uphold the rules governing global capital markets. B. Act with integrity, competence, diligence, respect, and in an ethical manner with the public. C. Maintain and improve their professional competence. D. All of the above.
D. All of the above.
Ethics reporting mechanisms have been: A. Established to create an avenue for the company to obtain allegations of unethical conduct. B. Increasing in employee use and effectiveness. C. Wholly rejected by skeptical and weary employees. D. Both A and B, but not C.
D. Both A and B, but not C.
When working well, the issue management process: A. Is static and never pulls in additional information that would disturb the balance. B. Generates two specific options for each issue. C. Minimizes dialogue with the stakeholders and focuses on short-term survival. D. Continuously cycles back to the beginning and repeats.
D. Continuously cycles back to the beginning and repeats.
Which of the following is not an example of an ethical criterion? A. Egoism. B. Concern for others. C. Principle. D. Corporate driven.
D. Corporate driven.
Stakeholder partnerships, high-tech communication networks, and sustainability audits are examples of: A. Corporate social stewardship. B. Corporate social responsiveness. C. Corporate/Business Ethics. D. Corporate/Global Citizenship.
D. Corporate/Global Citizenship.
As business becomes increasingly global: A. It must turn to national laws for guidance. B. Ethical issues become issues of free trade. C. A global code of conduct will emerge for businesses. D. Cross-cultural contradictions will increase.
D. Cross-cultural contradictions will increase.
Ethisphere Magazine recognizes and rewards ethical leadership and business practices worldwide according to their: A. Regulatory Percentage Track (RPT). B. Ethics and Leadership Radar (ELR). C. Quality Measurement (QM). D. Ethical Quotient (EQ).
D. Ethical Quotient (EQ).
Business leaders, like automaker Henry Ford developed these programs to support the recreational and health needs of their employees A. Corporate social responsibility programs. B. Corporate citizenship programs. C. Social networking programs. D. Paternalistic programs.
D. Paternalistic programs.
An analysis of the stability or instability of a government is an example of scanning the: A. Social environment. B. Legal environment. C. Geophysical environment. D. Political environment.
D. Political environment.
As of 2012, the B Corporation status has been legally recognized in how many states? A. All 50 states. B. The original 13 states. C. Fifteen states. D. Seven states.
D. Seven states.
As an additional employee benefit to promote spirituality, companies have begun to provide employees with the services of: A. Philosophers. B. Chaplains. C. Financial advisors. D. Ombudspersons.
B. Chaplains.
When a person or group of people identify a social need and use their entrepreneurial skills to address this need, this process is called: A. Social stewardship. B. Social entrepreneurship. C. Social optimism. D. Social responsibility.
B. Social entrepreneurship.
A just or fair ethical decision occurs when: A. The rights of all affected are considered. B. The greatest good for those with power is achieved. C. Benefits and burdens are distributed equally. D. All of the above.
C. Benefits and burdens are distributed equally.
This occurs when financial organizations provide loans to low-income clients or solidarity lending groups (a community of borrowers) who traditionally lacked access to banking or related services. A. Commercial banking. B. Macrofinancing. C. Microfinancing. D. Micro-entrepreneurship.
C. Microfinancing.
Reason(s) for adopting an enlightened self-interest approach is (are): A. Reasonable short-run costs are incurred, but socially responsible activities are promoted. B. The public's attitude toward the company is positive in the long run. C. The stockholders' pressures for short-run profits are satisfied. D. All of the above.
D. All of the above.
The Interactive Digital Software Association case exemplifies: A. The idea that laws can not always define proper action. B. The idea that ethical principles are broader than laws. C. Industries preempting legislation and voluntarily adopting ethically based practices. D. All of the above.
D. All of the above.
Corporations working collaboratively with other businesses and concerned persons and organizations is an example of: A. Stakeholder networks. B. Stakeholder motivation. C. Stakeholder systems. D. Stakeholder salience
A. Stakeholder networks.
Ethics policies typically cover all of the following issues except: A. Developing guidelines for accepting or refusing gifts from suppliers. B. Encouraging discriminatory personnel practices. C. Avoiding conflict of interest. D. Maintaining the security of proprietary information.
B. Encouraging discriminatory personnel practices.
When a bank employee makes trades using the firm's money without its authorization, the practice is called: A. Rogue accounting. B. Rogue trading. C. Ponzi scheme. D. Imbalanced banking.
B. Rogue trading.
When a company puts its commitment to social and environmental responsibility into practice worldwide, not only locally or regionally it is called: A. Corporate Social Responsibility. B. Global Sustainability. C. Global Corporate Citizenship. D. Community Investing.
C. Global Corporate Citizenship.
The drivers of stakeholders of engagement are: A. Scanning, assessment, and growth. B. Data, strategy, and organizational development. C. Goals, motivation, and operational capacity. D. Financial, operational, and legal.
C. Goals, motivation, and operational capacity.
The issues management process is a: A. Beneficial tool used only to maximize the positive effects of a public issue for the organization's advantage. B. Beneficial tool used only to minimize the negative effects of a public issue for the organization's advantage. C. Systematic process companies use when responding to public issues that are of greatest importance to the business. D. Confusing process that is rarely used to help top management within an organization.
C. Systematic process companies use when responding to public issues that are of greatest importance to the business.
People's ethical beliefs come from: A. Legislative action and judicial decisions. B. Reading the company's profit and loss statements. C. Their religious background, family, and education. D. The organization's code of ethics.
C. Their religious background, family, and education.
BSR (formerly Business for Social Responsibility) helps its 300 member companies: A. Lobby Congress for socially responsible legislation. B. Discover tax shelters for social program expenditures. C. Conduct social audits. D. Develop sustainable business strategies.
D. Develop sustainable business strategies.
Which of the following is not true about justice reasoning? A. The reasoner is interested in the net value of benefits. B. The reasoner considers who pays the costs and who receives the benefits. C. The reasoner seeks a fair distribution to all affected. D. The reasoner relies upon some accepted rule or standard.
A. The reasoner is interested in the net value of benefits.
Businesses are expected to be ethical in their relationships with: A. Stockholders. B. Customers. C. Competitors. D. All of the above.
D. All of the above.
A social enterprise: A. Adopts social benefit as its core mission. B. Adopts profit maximization as its core mission. C. Can only be adopted by small firms. D. Does not use business strategies to improve environmental well-being.
A. Adopts social benefit as its core mission.
Positive reputation can be valued as an intangible corporate: A. Asset. B. Liability. C. Charity. D. Expense.
A. Asset.
Once a company enters the innovative stage of corporate citizenship, it will: A. Begin reporting its efforts to stakeholders. B. Step up its philanthropic giving. C. Increase the number of stakeholders to the firm. D. Build more coherent initiatives with stakeholders.
A. Begin reporting its efforts to stakeholders.
Executive conscience, acts of charity, and philanthropic funding are examples of: A. Corporate social stewardship. B. Corporate social responsiveness. C. Corporate/Business Ethics. D. Corporate/Global Citizenship.
A. Corporate social stewardship.
Customer environmental intelligence includes: A. Demographic factors. B. An analysis of the firm's competitors. C. New technological applications. D. The cost of producing consumer goods.
A. Demographic factors.
Which ethical criterion is described by the idea that a company should strive for efficiency? A. Egoism. B. Benevolence. C. Principle. D. Business-centered.
A. Egoism.
Which of the following organization's code of ethics advocates "loyalty to your organization, justice to those whom you deal and faith in your profession?" A. Institute for Supply Management. B. Institute of Certified Public Accountants. C. Financial Accounting Standards Board. D. Association for Computing Machinery.
A. Institute for Supply Management.
Which of the following organizations have developed standards to judge corporate performance? A. International Organisation for Standards. B. Global Development Initiative. C. Institute of Accountability. D. All of the above.
A. International Organisation for Standards.
This Switzerland-based pharmaceutical firm was an early adopter of the Global Compact and used it to update its code of conduct. A. Novartis. B. Bayer. C. Johnson & Johnson. D. The Gap.
A. Novartis.
Modern corporations should be socially responsible because they: A. Are responsible to the stockholders of the company. B. Create jobs, influencing the lives of employees. C. Are highly profitable. D. Generate dividends for the company stockholders.
B. Create jobs, influencing the lives of employees.
Which of the following is an argument in favor of corporate social responsibility? A. Lowers economic efficiency and profit. B. Discourages government regulation. C. Places responsibility on business rather than individuals. D. Imposes unequal costs among competitors.
B. Discourages government regulation.
The Ronald McDonald House charity, operated by McDonald's has been criticized for: A. Providing homes-away-from home for the families of seriously ill children being treated in hospitals. B. Diverting attention away from the company's contributions to the nation's obesity epidemic. C. Using company profits to fund social missions. D. Paying employees low wages.
B. Diverting attention away from the company's contributions to the nation's obesity epidemic.
Grameen Bank in Bangladesh is one of the most recognized: A. B Corporations. B. Microfinance institutions. C. Yogurt producers. D. Retail providers.
B. Microfinance institutions.
At the core of rights reasoning is the belief that: A. The company's right to a profit must be protected. B. Respecting others is the essence of human rights. C. The right to join a union is no longer universally accepted. D. Economic and political powers determine who is right.
B. Respecting others is the essence of human rights.
People everywhere depend on ethical systems to tell them whether their actions are: A. Legal or illegal. B. Right or wrong. C. Financially attainable or not. D. Logical and reasonable judgment.
B. Right or wrong.
Once an organization has implemented the issue management program, it must: A. Use trade associations or consultants to follow high priority issues. B. Study the results and make necessary adjustments. C. Not limit the number of public issues the firm can address. D. Pick a selected number of issues to address immediately.
B. Study the results and make necessary adjustments.
Failure to understand the beliefs and expectations of stakeholders: A. Causes a company's profits to increase in the short run. B. Causes a company's profits to decrease in the short run. C. Causes the performance-expectations gap to grow larger. D. Increases the chance of a corporate buy-out.
C. Causes the performance-expectations gap to grow larger.
Legal environmental intelligence includes: A. Patterns of aggressive growth versus static maintenance. B. Analysis of local, state, national, and international politics. C. Considerations of patents, copyrights, or trademarks. D. Information regarding costs, prices, and international trade.
C. Considerations of patents, copyrights, or trademarks.
All of the following are commitments of the Principles of the Code of Professional Conduct of the American Institute of Certified Public Accountants except: A. The Public Interest. B. Objectivity and Independence. C. Due Process. D. Due Care.
C. Due Process.
The issue management process has how may stages? A. Three. B. Four. C. Five. D. Six.
C. Five.
The main drawback to utilitarian reasoning is that: A. The majority may override the rights of those in the minority. B. Managers using this reasoning process often fail to consider the means taken to reach the end. C. It is difficult to accurately measure both costs and benefits. D. Cost-benefit calculations can only be provided by accountants.
C. It is difficult to accurately measure both costs and benefits.
Aristotle argued: A. Self-control is the most virtuous of values. B. Faith is a road to charity and modesty. C. Moral virtue is a mean between two virtues. D. High-mindedness delivers human integrity.
C. Moral virtue is a mean between two virtues.
When businesses bring products and services to the many people in the world who have traditionally been beyond the reach of global commerce, they are said to be: A. Serving the top of the triangle. B. Reaching the bottom of the globe. C. Serving the bottom of the pyramid. D. Focusing on the ends of the supply chain.
C. Serving the bottom of the pyramid.
The major focus of ISO 14001 is to: A. Link economic, environmental and social responsibility. B. Build accountability in the public sector. C. Support environmental management standards. D. Structure effective dialogue with stakeholders.
C. Support environmental management standards.
Financial, social and environmental results are reported together in a firm's: A. Financial reports if a publicly traded firm. B. Code of business conduct. C. Triple bottom line report. D. Employee newsletter.
C. Triple bottom line report.
Global audit social standards concentrate on: A. Internally focused economic benefits for the firm. B. Externally focused social benefits for the environment. C. Externally focused social benefits for key stakeholders. D. All of the above
D. All of the above
Asian Forum on Corporate Social Responsibility gives awards for excellence in: A. Environmental management. B. Education. C. Poverty alleviation. D. All of the above.
D. All of the above.
The core components upon which a company's ethical performance depends include: A. The values and virtues of the managers. B. The personal character of the managers and employees. C. The traditions, attitudes, and business practices built into a company's culture. D. All of the above.
D. All of the above.
The reason(s) behind the uncertainty of an ethical or unethical decision is (are) that different people and groups: A. May honestly and genuinely use different sources of information. B. May rank various rights in different ways. C. May not share the same meaning of justice. D. All of the above.
D. All of the above.
Firms that believe they can make decisions unilaterally, without taking into consideration their impact on others are: A. Interactive companies. B. Proactive companies. C. Reactive companies. D. Inactive companies.
D. Inactive companies.
According to the scholar Simon Zadek six benefits of social audits include all of the following except. A. Helping businesses know what is happening within their firm. B. Understanding what stakeholders think about and want from the business. C. Strengthen the loyalty and commitment of stakeholders. D. Outperforming competitors financially in a businesses' industry.
D. Outperforming competitors financially in a businesses' industry.
According to Barlow v. A.P. Smith Manufacturing: A. The laws prohibited charitable contributions, at that time. B. Charitable contributions were bad corporate investments for the short term. C. Socially responsible actions must be approved by a majority of the firm's stakeholders. D. Socially responsible actions are in investment in the future, thus an allowable expense.
D. Socially responsible actions are in investment in the future, thus an allowable expense.
A business and its stakeholders coming together for face-to-face conversations about issues of common concern is: A. Stakeholder networks. B. Stakeholder motivation. C. Stakeholder systems. D. Stakeholder dialogue.
D. Stakeholder dialogue.
Which U.S. Act prohibits executives representing U.S.-based companies from paying bribes to foreign government officials, political parties, or political candidates: A. The USA Patriot Act. B. The UK Bribery Act. C. The Corruption of Foreign Officials Act. D. The U.S. Foreign Corrupt Practices Act.
D. The U.S. Foreign Corrupt Practices Act.
